In the first half of this year, Norway’s electric vehicle sales garnered 55 percent of the new car market—up from 6 percent in 2013—because Norway provides numerous incentives that distort that market. In contrast, the EV sales share of the market in the rest of the world is in the low single digits, despite large subsidies. Consumers tend to shy away from electric vehicles because they are expensive and they have range limitations, slow charging times, and limited resale value. Further, in cold temperatures, such as in Norway, electric vehicle (EV) range can be reduced by up to 40 percent. In Norway’s winters, the range is about half what it is in the summer. The incentives that Norway provides, however, seems to outweigh those negatives. They are:
